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BharatPe backs UPI MDR, cites 96% P2M unaffected
Hindustan Times··17 Sept
BharatPe backed the new Merchant Discount Rate framework for UPI and said Ashneer Grover's criticism does not represent the firm. CEO Nalin Negi said consumers still pay no UPI charges and about 96 percent of person-to-merchant transactions remain unaffected. A spokesperson said Grover has had no association with BharatPe since 2024 and is not a shareholder.
Prism
What It Means For You
- Economic Times reported a 0.4 percent fee on merchant UPI transfers above Rs 2,000 from October 15.
- Person-to-person UPI transfers and eligible small-value merchant payments remain free under the framework.
- Negi said micro and small merchants under the P2PM framework remain protected with zero MDR.
What's Happening
- BharatPe said Grover's views were personal and urged media not to attribute them to the company.
- Grover criticised the merchant charge on UPI transactions above Rs 2,000 and called the levy a tax.
- Negi cited NPCI data that around 96 percent of P2M transactions will remain unaffected.
What the Fee Covers
- The charge is to be borne by merchants rather than consumers, Economic Times reported.
- The framework ends nearly six years of fully free UPI payments for covered merchant transactions.
- BharatPe said the move creates resources to expand merchant acceptance in smaller towns.
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